2012Coleman wrote:
guidry wrote:
Actual invoice is what I start negotiations at.
Very seriously doubt that was the actual invoice the dealer paid. Could you post this invoice price, and the MSRP?
I was in the car business for 8 years in a previous life. Contrary to popular opinion, there is no such thing as a "second" dealer invoice. I can only speak for Ford & Mazda, but I'm sure that it is probably true for the others as well.
The invoice price is the price that they paid for it. However, there might be some "back end" money or additional incentives to the dealer from the manufacturer that are run during certain sales promotions of towards the end of a model year when the new stuff is getting ready to come out.
Another misconception is that dealers won't sell a car for a loss. This is absolutely untrue. All new cars/trucks that are listed on the big Sat/Sunday newspaper section are listed either for a flat break even or actually loosing money.
I know for a fact that I sold SEVERAL cars that were true legitimate loosers, but they just had to go. Might have been sitting there a while and was starting to cost the dealerships more money in floorplan than they were worth keeping on the lot.
Also, the dealers don't get the luxury of paying 0% APR for floorplanning their inventory either and holdback can quickly get eaten up collectively by having a handful of vehicles that nobody is interested in, but they still have to pay for.